Most American adults are still living paycheck to paycheck, according to new report report. As of June, 61% of U.S. adults said they were living on their paycheck, according to a LendingClub survey, the same as a year ago.
The data show that many households continue to face financial hardships despite rising employment. Experts say several factors are causing prolonged financial instability, especially high inflation that outstrips wage growth.
Report reveals how many Americans depend on paycheck to paycheck
About three-quarters of consumers earning less than $50,000 and 65% of those earning between $50,000 and $100,000 were living on pay in June, according to a LendingClub report. . For high-income earners, the situation is less dire, with 45% of those earning $100,000 or more saying they live paycheck to paycheck.
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But inflation seems to have taken a noticeable toll on many Americans, regardless of income level. Another CNBC survey in March found that 58% of American adults say they live on their paycheck. Additionally, 52% of respondents said they were feeling more financially stressed than before the COVID-19 pandemic. They cite factors such as inflation, rising interest rates and inadequate savings.